4 Retirement Investment Options to Try

 

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4 Retirement Investment Options to Try

Author: David S. Young

Even if retirement is four decades away, you need to plan for it. The first step is to know various retirement investment options. These days, pensions given by companies disappear fast thus the need to invest in retirement.

One of the retirement investment options are target date retirement funds. These are funds that immediately balance your portfolio when your retirement date approaches. This then takes away the time wasted in planning for retirement. In having this kind of fund, you just pick out the fund with the year nearest to your retirement date. The handlers of your fund will alter the asset allocation when the date nears. Your money would be transferred from stocks to investments that have fixed income. The only problem with this kind of option is when a bear market hits during the time your fund has shifted to bonds from stocks. Should this happen, you will lose plenty of money because the fund would be selling down at the market’s lowest level.

Another retirement investment option is a balanced fund. This is a mixture of bonds and stocks. A balanced fund has the tendency to be less unpredictable with bonds rather than a fund that has been invested only in stocks. If you wish to utilize a balanced fund with a 401k and IRA, check that both the bonds and stocks are appropriate.  Remember that when you are near your retirement period, you should lower your investment in stocks. If you are ready to retire, have a balance of both bonds and stocks.  

Aggressive stock funds are also retirement investment options. This is ideal for young employees because they may provide a bigger return in the future although it can also be risky. This fund will be managed by a person or company who will choose stocks that are deemed of less value. When their value increases in time, the price of the fund then goes up. As time passes by, the retirement portfolio may also heighten. There are plenty of 401k plans that have aggressive stock funds, target date funds and balanced funds. It is your call to decide the combination of investments you deem proper based on your age and years of employment till you reach retirement.

Other retirement investment options include products and programs that are supported by the Federal Deposit Insurance Corporation such as IRAs, savings, checking, trusts and Certificates of Deposit. These are sold by banks via their agents. There are also money market deposit accounts provided by banks that are insured by the FDIC. The limit of FDIC insurance is $250,000 for each account. Visit your bank if they have such products you can invest in for your retirement.

Be reminded that not all banks are insured by the FDIC. You can go directly to the FDIC to check if your funds are invested in a company that is insured with them. There are also products offered by banks that are not FDIC-insured. FDIC insurance does not back stocks, bonds, mutual funds, annuities and life insurance products.

Retirement investment options should be well-thought of before you take a leap and invest. You can hire a retirement investment advisor to help you with the most viable option. With an honest and reputable advisor, you will be assured that your savings is in good hands.

With wise and carefully-planned retirement investment options, you will have a secure future upon retirement.

Article Source: http://www.articlesbase.com/finance-articles/4-retirement-investment-options-to-try-5919522.html

About the Author

David Young is a featured and syndicated expert columnist on the topic of wealth & retirement for the Secret Enquirer. For more wealth & retirement tips and articles, visit http://www.SecretEnquirer.com now.

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20 Responses to 4 Retirement Investment Options to Try

  1. Angry American says:

    I bought shares in Lloyds at 50 p and RBS at 41 p, and both have dropped to way below this but recently have been going up, I was planning on selling both when they make 12% profit for me, is this a good strategy? And also is it important to have a plan with all companies you buy then follow through with it? e.g. only selling at 12% increase?

  2. ashishs says:

    Is earning 9% annual interest rate in bank FD better than to buying a property?

  3. ashishs says:

    Is earning 9% annual interest rate in bank FD better than to buying a property?

  4. Angry American says:

    I am 13 and have decided I want to invest my money.
    I only have $50 so not that much but what can i invest in?

  5. Angry American says:

    I am from Canada, there are not Tesco stores here. The closest thing is Fresh and Easy in the U.S. which I have been couple times. Do you think their market share domination in the UK is stable? What about in other countries like Thailand, Korea and Czech Republic?

  6. Nilu6686 says:

    Hi, Is it a good time to invest in gold? current price is 31924 rupees. how much rise one can expect end of the year in gold price?

  7. gowthamg says:

    but there is no returns Nav is 10.80, so i change to any other fund kindly advice

  8. bajranglals says:

    I thinh you have opted growth fund,due volatility in share market the profit is not visible in value.you cal1.surrender policy,and invest in assured return policy like bima bachat,jeewan tarang.
    2.switch your growth fund to balance or income fund to reduce your share exposure risk.

  9. Angry American says:

    My close relative of mine wants to invest a third of his money in gold to hedge against inflation. I’m talking like $200,000. Where does one go in the Tri-state area to make a purchase of Gold that large at the closest to best market price, without risking getting scammed?

    I understand that you can not invest directly into gold as you can with many other commodities, so I figure the only way to do it is to actually purchase the concrete metal.

  10. Angry American says:

    the stocks i plan to invest in are peix..cur…pphm…or biof…i know that the lower end stocks are more volatile but i like it that way…also…what type of stock chart should i use…any suggestions?…brokerages? and do stock charts that have the buy and sell alerts really work?

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